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Tire Material Cost Analysis

May 18, 2023

In tire production, raw material costs account for about 80%, of which natural rubber costs the largest proportion, accounting for 41.6%, synthetic rubber accounting for 11.8%, steel cord accounting for 16.0%, and carbon black accounting for 8.3 %, chemical auxiliary materials accounted for 9.6%, and other expenses accounted for 12.7%.

Tire upstream raw materials mainly include natural rubber, synthetic rubber, steel cord materials, carbon black, rubber additives and other industries. In tire production, raw material costs account for about 80%, of which natural rubber costs the largest proportion, accounting for 41.6%, synthetic rubber accounting for 11.8%, steel cord accounting for 16.0%, and carbon black accounting for 8.3 %, chemical auxiliary materials accounted for 9.6%, and other expenses accounted for 12.7%. It can be seen that natural rubber and synthetic rubber account for nearly 60% of tire costs, and changes in rubber prices are closely related to tires.

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